President Donald Trump signed into law the GENIUS Act, which establishes a regulatory framework for payment stablecoins. The bill signing follows a House vote last week of 308-122 to pass the GENIUS Act following Senate passage last month.
GENIUS Act Advocacy: ICBA’s advocacy resulted in positive changes to the GENIUS Act throughout the legislative process, including strengthening language on Federal Reserve master account access, expanding the prohibition on yield/interest-bearing stablecoins to include other financial considerations, limiting nonfinancial publicly traded companies' ability to issue stablecoins, tightening permissible activities of issuers, and ensuring issuers cannot claim stablecoins are FDIC insured.
ICBA Response to Passage: In a national news release following House passage, ICBA said it appreciates the steps taken by lawmakers throughout the legislative process to address concerns raised by ICBA.
Next Steps: As with other legislation signed into law by the president, there will be an extensive regulatory implementation process for the GENIUS Act before many of the provisions take effect. ICBA will remain heavily engaged throughout the rulemaking process.